Tuesday, November 8, 2011

Crude Oil Hits 3-Month High; Prepare for Higher Consumer Prices

Crude oil for December delivery rose $1, or 1.1 percent, to $96.52 a barrel in early trading on the New York Merc. Prices reached $96.87, the highest intraday level since Aug. 1. Futures are up 5.6 percent this year.

Prepare for the coming price inflation at the consumer level, as the money Bernanke prints circulates through the economy. Since oil is used in both the capital goods sector and the consumer goods sector, oil is always one of the first commodities to experience rising prices.

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